Me too We do not use 1/1/1900 as a default anywhere. But I believe, so don't be discouraged .... however :errm: I cannot reproduce your behavior. I just followed your steps from above and when I create a new row, it appears as 1/1/1800.
I think that is the first mystery that we need to resolve. I think that if we clear that up then the rest is downhill.
Here are a couple of links that may or may not help. I havent had too much time to study it, but it sounds like it may be a SQL Server issue.
http://www.codescene.com/2006/01/party_like_its_111900_or_how_t.php
http://www.dotnet247.com/247reference/msgs/15/79000.aspx
I appreciate all the help. ;-)